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November 27, 2023

Scope 4 emissions: a handy tool or greenwashing bait?

Experts agree Scope 4 or avoided emissions is a complex issue that needs standardisation and clarification. For example, even if over time EVs discourage the use and sale of fossil fuel cars, they could still stimulate the use of cars in general  (Photo: Angel Garcia/Bloomberg)
Experts agree Scope 4 or avoided emissions is a complex issue that needs standardisation and clarification. For example, even if over time EVs discourage the use and sale of fossil fuel cars, they could still stimulate the use of cars in general (Photo: Angel Garcia/Bloomberg)

The emergence of Scope 4 – or ‘avoided’ – emissions in company reports has the industry debating what role their disclosure can play in carbon accounting

While policymakers are legislating on the indirect emissions derived from a company’s upstream and downstream value chains, known as Scope 3 emissions, businesses that provide climate solutions are increasingly embedding Scope 4 emissions in their reporting as well. 

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